Estonia’s A+ rating upheld by Fitch
Credit agency Fitch has maintained its longterm foreign and local currency issuer default ratings for Estonia at A+, the third highest investment grade.
The firm, which is based in both London and New York, wrote in a press release published on Friday, May 12, that Estonia’s sovereign ratings are backed by a strong sovereign balance sheet, a sound macroeconomic policy framework, eurozone membership and healthy governance indicators as compared to similar countries rated by Fitch.
In 2016, Estonia recorded fiscal surplus for a third year in a row, but for 2017 and 2018, the firm predicts Estonian budget will have 0.5% and 0.8% of GDP deficits.
Keeping Estonian ratings from higher – AA – grade is «Estonia’s small size and vulnerability to external shocks, and low income per head», the firm wrote.